Press Release|CMBS

KBRA Affirms All Ratings for VMC 2023-PV1

18 Jul 2025   |   New York

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KBRA affirms all of its outstanding ratings for VMC 2023-PV1, a CRE CLO transaction with the ability to reinvest principal proceeds for 24 months. The affirmations follow a surveillance review of the transaction, which has exhibited stable collateral performance since securitization.

At the time of this review, the total collateral balance is $480.5 million, which is comprised of 19 first mortgage loans secured by 19 properties, and approximately $20,000 of cash collateral. During the reinvestment period, which ends in July 2025, principal proceeds received with respect to the mortgage assets, can be reinvested in previously unidentified whole loans and senior participations, provided the assets meet certain specified eligibility criteria. Additionally, the transaction provides the sponsor with the ability to effectuate modifications to performing loans, as well as buy out defaulted and credit risk assets. As of the June 2025 remittance period, there are no specially serviced loans; however, one loan (5.6% of the pool balance) has been identified as a K-LOC and is depicted in the table below:

Loss Given Default (000s) Loss Severity 13 Trailside Apartments MF 26,908 5.6% N C Y Maturity - - Total K-LOCs $26,908 5.6% $0 1. K-LOC Date is the date when the most recent K-LOC was initially determined. 2. Loss Given Default assumes a 100% probability of default (PD). KBRA may determine a lower PD when estimating losses to a transaction. KBRA Estimated 2 K-LOCs Prosp. ID Loan Name Prop Type Current In-Trust Balance (000s) % of Deal Balance SS Loan Status Mod (Y/N) Primary K-LOC Reason
Source: KBRA

The transaction’s WA KLTV is 126.7%, compared to 127.9% at last review and 126.3% at securitization. The KDSC at Index Cap is 0.88x, compared to 0.91x at last review and 0.94x at securitization. The overcollateralization and interest coverage tests have each been satisfied during each distribution date since issuance.

At securitization, 14 loans (71.7% of the collateral balance) had related companion participations representing unfunded future advance obligations, with an aggregate unfunded amount of $38.7 million. In total, there are currently 10 loans (66.1%), with unfunded future advance obligations with an aggregate of $11.6 million unfunded.

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Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

Doc ID: 1010381

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